During any requisition for use or hire of the Aircraft, any Engine
 or Part which does not constitute an Event of Loss:

 (a) the Rent and other charges payable under this Agreement will
 not be suspended or abated either in whole or in part, and
 Lessee will not be released from any of its other obligations
 under this Agreement (other than operational obligations with
 which Lessee is unable to comply by virtue of the
 requisition); and

 (b) so long as no Default or Event of Default has occurred and is
 continuing, Lessee will be entitled to any hire or other
 compensation paid by the requisitioning authority during the
 Term. Lessee will, as soon as practicable after the end of any
 such requisition, cause the Aircraft to be put into the
 condition required by this Agreement. Lessor will be entitled
 to all compensation payable by the requisitioning authority in
 respect of any change in the structure, state or condition of
 the Aircraft arising during the period of requisition, and
 Lessor will apply such compensation in reimbursing Lessee for
 the cost of complying with its obligations under this
 Agreement in respect of any such change; provided, however, if
 any Default or Event of Default has occurred and is
 continuing, Lessor may apply the compensation or hire in or
 towards settlement of any amounts owing by Lessee under this
 Agreement or the other Transaction Documents and any excess
 thereof shall be applied as described above.

 92


12. RETURN OF AIRCRAFT

 12.1 RETURN: